Customers pull their cash from NYCB, but no bank run

Elisabeth Buchwald, CNN | 3/7/2024, 8:35 a.m.
Customers of New York Community Bank (NYCB) pulled $6 billion worth of deposits between February 5 and March 5, leaving …
New York Community Bank customers withdrew $6 billion in one month. Mandatory Credit: Ted Shaffrey/AP via CNN Newsource

Customers of New York Community Bank (NYCB) pulled $6 billion worth of deposits between February 5 and March 5, leaving the bank’s deposit base 7% lower, at $77 billion.

NYCB provided the updated figures on an investor conference call Thursday morning after it announced it secured a $1 billion investment from former Treasury Secretary Steven Mnuchin’s firm, Liberty Strategic Capital, among other private equity companies.

Before the company disclosed in a filing last Thursday it had identified “material weakness” in the company’s controls, there weren’t significant changes in the bank’s level of deposits, said Alessandro DiNello, NYCB’s outgoing CEO, appointed just last week.

“Friday was not a great day,” he said. “Over the weekend, Monday and Tuesday deposits were strong again.”

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